Your First Grandchild

YorkieonmyPillow · ‎01-13-2013

When you found out you were going to be a grandmother, did you set up a savings account for your future grandchild?

Or perhaps a life insurance policy?

Brigitta · ‎03-10-2010

Yes we did set up a savings account for our grandson. We are now using it to pay his tuition at college. Good thing we did, his mother hasn't any money to help him.

dragonflyveb · ‎04-05-2014

I set up a 529 college account for my grandson. It’s a win-win for all. He will get help with his tuition, and I get a tax credit from the state!

Not too often do you get a win-win!

Dragonfly

chrystaltree · ‎05-10-2010

Life insurance? Why would a grandparent do that? We did not open a bank account for either of our grandchildren. Nor do we intend to. Both our girls and their husbands are well paid professionals with college degrees. We paid for our girls educations, now they have joy of doing that for their children. It's possible that down the road, we might help out with medical or law school tuition, which isn't uncommon for grandparents but that's a long way away. We'll be paying for Disney Vacations and family trips to Hawaii.

YorkieonmyPillow · ‎01-13-2013

@chrystaltree wrote:
Life insurance? Why would a grandparent do that? We did not open a bank account for either of our grandchildren. Nor do we intend to. Both our girls and their husbands are well paid professionals with college degrees. We paid for our girls educations, now they have joy of doing that for their children. It's possible that down the road, we might help out with medical or law school tuition, which isn't uncommon for grandparents but that's a long way away. We'll be paying for Disney Vacations and family trips to Hawaii.

As I understand it, a grandparent can buy a life insurance policy for the grandchild and the $$$ accumulated can basically accrue like a savings account for him/her although admittedly I don't know a lot about such matters, that's just what I've heard.

Grandparents buying life insurance for grandchildren is a rather common practice.

Mz iMac · ‎07-26-2014

Well, the first thing I did was to remind everyone, that I was too young to be a grandmother. Since the "other" grandmother was already called one, she will continue to be "grandmom."

I am NaNa.

The 2nd thing I did was purchase stock. Cashed it out a week before the 18th birthday. Gave him the $$$$ & told him, to spend it anyway you wish or save it. It's on you. Don't let your parents touch it. It's yours you earned it.

"Never argue with a fool. Onlookers may not be able to tell the difference."

Mistreatedbycs · ‎03-10-2010

My mom set up CD's for the kids but wait, she gave the kids their money when they entered college, my sister later asked why x didn't get the same amount as y and z and so on. Oh my gosh, free money and it was thankless. We're not talking hundreds, we're talking thousands.

Why it wasn't the same amount but the kids were 2-3 years apart of from each other, different rates, different times etc.

Mention money and you'll have problems.

Now you have your first well when the second comes, how are you going to equalize them both out...you're not. Nothing but problems to come.

I personally didn't believe grandma's should aid in the grandchilds money, it's the parents responsibility, you did your job with your daughter or son, let them be responsible now.

If you want to buy them something, get a gold coin from the US Mint, no one will ever have an issue with gold.

BirkiLady · ‎02-22-2015

Set up a Trust Fund for my grandson which includes stocks, mutual funds and other investments. He won't have access to funds until age 30. His parents and I have input on how monies are invested.

His parents have already funded his entire education and received the income tax deducations (if I remember correctly). My grandson will be 12 in December.

My DIL has four brothers; all have several children. Therefore, my grandson's other grandparent's simply do not have the money to set up anything for all their grandchildren. If not able to do for all; don't provide for one. Cousins talk; don't ruin their relationships with monetary gifts. My grandson is so fortunate to have so many cousins on the other side of the family! That is a huge gift our family is unable to provide.

Money screams; wealth whispers.

elizabethl123 · ‎03-29-2017

hubby and i set up one for her she decided no more school for her. get this she wanted the money no way was over 50 grand we cashed it in and got our money back plus interest . we started one for our g/grand girl now shes 5 the money we got back is now in her account .